Barrier not border for Palestinian state

Asked by state-owned Al-Ahram newspaper if the barrier would be the definitive border, Sharon replied: "No. The real border will be established once total calm is restored, which will allow us to move toward the (Middle East peace) roadmap."

The internationally drafted roadmap foresees an independent Palestinian state living side by side in peace with Israel.

"It is not the wall that demarcates the border," Sharon added. The wall's "only objective is to prevent terrorist operations inside Israel. We consider that the construction of the wall has stopped numerous terrorist operations."

Asked whether the barrier would ever be pulled down, Sharon said: "We will study the matter."

Sharon was also asked about two other sticking points in the peace process -- the future of Palestinians who fled or were driven from their homes when the state of Israel was created in 1948, and the status of Jerusalem.

"Concerning the refugees, I have an agreement with President George Bush which foresees their being able to return to a Palestinian state. That is our position. I do not see how they could be able to return to Israel.

On east Jerusalem, which the Palestinians want as the capital of their future state, Sharon said: "Jerusalem has been the capital of the Jewish people for the past 3,007 years after it was proclaimed as such by King David. It is the undivided capital of Israel."

Sharon says Egypt is doing more than before to stop weapons smuggling into the Gaza Strip.

Sharon, who plans to withdraw from the Gaza Strip this year, said in remarks published on Saturday that he hoped a halt to weapons smuggling would allow Israel also to withdraw from a strip of land in southern Gaza.

Egypt and Israel have agreed in principle to the deployment of 750 Egyptian border guards along the border with the Gaza Strip, which under a 1979 Egyptian-Israeli peace deal can only be patrolled by lightly armed Egyptian police.